The US Department of Transportation (DOT) says it has granted Essential Air Service (EAS) waivers to the towns of Pendleton (Oregon), Alamosa (Colorado), and Watertown, SD following petitions lodged earlier this year.

The three towns were originally disqualified from the federally subsidized scheme on the grounds they are each situated less than 210 miles (338 kilometres) from the nearest large- or medium-hub airport. In addition, concerns were raised about their exceeding the legally stipulated subsidy limit of USD200 per passenger.

The DOT subsequently allowed the three towns to apply for waivers wherein they argued that poor service provided by their EAS airline caused their noncompliance with one or both eligibility requirements.

"These communities essentially argued that the poor service affected consumer confidence and depressed demand for air service, such that the enplanement and/or subsidy per passenger numbers in Fiscal Year 2015 were not representative of these communities’ true demand for air service or subsidy need," the DOT said.

It later accepted their arguments in its decision granting the waivers.

As it stands, Boutique Air (4B, San Francisco) provides EAS at both Pendleton (serving Portland International and Seattle Tacoma International) and Alamosa (serving Albuquerque International and Denver International) while ADI Aerodynamics (Pontiac Oakland County International) connects Watertown with Denver and Pierre through its Great Lakes Jet Express (Youngstown/Warren) brand.